Economic Policy: Stamp Duty Should Be Reduced First To Reduce Paction Costs Of A Shares.

In recent months, with the A share market weakening again, management has also adopted a modest tax reduction measures.

Among them, the securities and Futures Commission has lowered the cost of handling securities pactions.

And many other paction costs. At the same time, a new regulation is imposed on the dividend tax.

Specifically, from September 8th of this year, the stock dividends of listed companies that have been acquired from the public offering and pfer market will be retained for a period of more than 1 years, and the dividend income is temporarily exempted from personal income tax.

As a result, recent market tax cuts have not had a significant impact on the paction costs of investors, and investors' enthusiasm for investment has not been improved rapidly.

I believe that at present

In the early stage of confidence restoration, it is particularly important to reduce the paction costs of investors.

At the same time, under the influence of greater tax reduction, it will further enhance the repair of stock market confidence and speed up the stabilization of the stock market.

In this regard, I believe that for managers, we can take these tax reduction measures to further boost market confidence in investment.

Faced with the recent downturn in the A share market, many market participants have proposed to reduce the overall tax and fees in the market so as to reduce the paction costs of investors.

Many overseas mature markets do not impose stamp duty on stock pactions. Therefore, the author believes that management should further reduce stamp duty and reduce pressure for shareholders.

In the near future, a group of data has attracted the attention of the market.

Specifically, according to statistics, stamp duty on securities pactions in the first three quarters of this year was about 205 billion 100 million yuan, a record high.

At the same time, for Chinese investors, their contribution is about 2147 yuan.

In view of this, the paction cost of Chinese investors is too high, which has once again aroused heated debate in the market.

Learned from more specific data, in September of this year, China

It was 13 billion 300 million yuan, an increase of 1 times compared with the same period last year.

However, compared with August this year, this figure still shows a decrease of about 50%.

However, throughout the first 7 months of this year, China's stamp duty on securities pactions recorded a relatively significant increase.

According to statistics, stamp duty on China's securities pactions was 165 billion 266 million yuan during the period, representing an increase of 502.5% over the same period last year.

In fact, in view of the super expected data of stamp duty on securities pactions in recent months, it is also closely related to a major factor, which is to benefit from the early hot market situation.

Obviously, this wave of bull market from last July to early June this year has also greatly boosted confidence in the market, and the number of new accounts and the two financial data crazily are also the most direct manifestation of the market.

However, in the face of the recent downturn in the A share market in the last three months, investors' confidence in investment has been greatly reduced.

At the same time, many market participants have proposed to reduce the overall tax and fees of the market in order to reduce the paction costs of investors.

It is undeniable that in China's stock market, the paction costs of shareholders are indeed heavy, including stamp duty, securities regulatory fees, securities paction handling fees, pfer fees and trading commissions.

Among them, stamp duty and Trade Commission are the higher cost costs.

Generally speaking, stamp duty is an example. At present, the stamp duty collection in China is based on the mode that the pferor unilaterally receives, and is charged according to 1 per cent of the paction amount.

In terms of trade commissions, the maximum amount of commission is 3 per thousand of the paction amount, and the minimum is 5 yuan, while the single paction commission is less than 5 yuan, which is charged by 5 yuan.

First, we should further reduce stamp duty and reduce pressure for shareholders.

The collection of stamp duty on securities is an important supplement to our tax revenue.

At the same time, it also has a lot of positive impact on China's fiscal revenue.

However, in view of the specific conditions of overseas markets, many mature markets have not imposed stamp duty on stock pactions.

In addition, in view of the great pressure of tax and fee in China's securities market and the low vitality of the market, we can further reduce the stamp duty, so as to further reduce the paction costs of investors.

Second, the differential dividend policy for dividend tax can further reduce the dividend tax for investors with a holding period ranging from 1 months to 1 years.

At present, China has implemented the dividend tax exemption policy for investors holding 1 years' time, so as to achieve the goal of encouraging long-term market value investment.

However, according to the actual situation, in accordance with the general investors' shareholding cycle in China, the proportion of investors who have held for 1 years or more is relatively small.

In other words, even if some investors hold more than 1 years' shareholding cycle, they will reduce their own return on investment because of the difference in price.

In fact, except for a small number of investors who frequently trade, most investors will hold a period between 1 months and 1 years.

In this regard, for such investment groups, the market should also give certain care, or to raise their investment confidence by way of red profits tax reduction.

In the long run, reducing the paction costs of shareholders is more advantageous than disadvantages, and at the same time, it will stimulate the investment vitality of the market to a certain extent, and enhance the overall investment attraction of the market.

Therefore, I believe that reducing paction costs of investors is indeed particularly important.